2.3.4. Collateral Factor

The maximum amount that a user can borrow is limited by the collateral factors of the NFTs they have supplied. For example, if a user supplies an NFT worth 100 ETH, then the user can borrow at most 80 ETH worth of other assets at any given time. Each NFT on TrustNFT can have a different collateral factor. Collateral factors for each asset are set by the NFT Evaluation Machine.